Greatland Gold PLC (AIM:GGP, OTC:GRLGF) said Newcrest Mining Limited (ASX:NCM) has exercised its option to take over management of the Juri joint venture in the Paterson region of Western Australia.
Under the terms of the farm-in and joint venture agreement for Juri, Newcrest could elect to become the manager at any time following an initial period.
Newcrest has now exercised its right to do so, said Greatland’s statement, and will assume responsibility from the beginning of the 2024 financial year.
The respective holdings of the two companies in the JV will remain unchanged with Greatland having 49% and Newcrest 51%.
Shaun Day, Greatland’s managing director, said he welcomes Newcrest’s engagement and interest in the project, adding that between them, the two companies are the largest landholders in the region.
Paterson is host to the pair’s Havieron discovery and Day said the partnership with Newcrest is “central” to unlocking the full potential of the province.
“Greatland strongly believes in the prospectivity of the Juri joint venture tenure and will continue to be an active participant following the upcoming management transition,” he said.
Day added that Newcrest taking over Juri means Greatland can focus more on its 100%-owned portfolio, particularly as the new manager of the farm-in and joint venture arrangement with Rio Tinto Exploration in the Paterson region that was announced this week.
Australalia-based Newcrest recently agreed to a US$19bn takeover from US giant Newmont.